S&P cuts several U.S. oil, gas companies

Standard & Poor's said it took several ratings actions on eight U.S. oil and gas companies following an industry review.

The agency said it reviewed companies with operating exposure to the Gulf Of Mexico following the U.S. Department of the Interior's extension of the moratorium on drilling permits. The six-month moratorium affects permits issued for new drilling operations at water depths greater than 500 feet.

The agency said it believes that when the moratorium is eventually lifted, there could be extensive delays in issuing new permits due to high initial volume and new safety and operating standards imposed.

Helix Energy Solutions Group Inc.'s ratings were downgraded to B from B+, and its outlook is negative.

Hornbeck Offshore Services Inc.'s ratings were downgraded to B+ with a negative outlook from BB- with a stable outlook.

ATP Oil & Gas Corp.'s ratings were downgraded to CCC+ with a negative outlook from B with a stable outlook.

Hercules Offshore Inc.'s ratings were downgraded to B- with a negative outlook from B with a negative outlook.

The outlook was revised to negative from stable on Anadarko Petroleum Corp., which has a BBB- rating, along with the outlook on Seacor Holdings Inc., which has a BBB- rating.

Transocean Inc.'s BBB+ ratings were placed on Credit Watch with negative implications, along with PHI Inc.'s B+ ratings.

The actions also reflect heightened concerns about the burgeoning scope of the Macondo well disaster, S&P said. The flow of oil into the Gulf of Mexico is likely to continue until at least August, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.